Countless businesses operate in the province of Alberta. Several businesses rely on mobility to provide their services to their customers. Therefore to continue operating your business, you’ll need vehicles dedicated to your business.
Regardless of your business purpose, transporting goods, people, or any other business operations, you need a relevant commercial vehicle insurance Alberta. A commercial vehicle insurance policy provides financial support when incidents happen beyond your control.
As a business owner, you’re responsible for safeguarding your company’s reputation and the employees or vendors collaborating with you. You can visit Surex to discover the best auto insurance companies in Alberta.
What is commercial vehicle insurance Alberta?
Commercial vehicle insurance, also known as commercial auto or business vehicle insurance, can be defined as a business insurance policy applicable to a “vehicle registered by or utilized specifically for business purpose.”
It safeguards your company against liability for bodily injuries or property damages caused by commercial vehicle accidents and offers specific compensation to individuals or properties.
In Canada, any commercial automobile used for transporting clients, carrying materials, or equipment usually requires commercial vehicle insurance coverage. Remember, personal and commercial auto insurance are different, and both can be used interchangeably even if the vehicle’s make and model are the same and registered under the same owner.
Commercial vehicle insurance Alberta — how is it useful?
Commercial vehicle insurance introduces a protective safety layer to your business. Commercial vehicles are a crucial component of your business operations. Thus, an accident, missing, damaged or vandalized vehicle could affect your regular business operation.
If you are in the market for commercial vehicles, you might also want to explore options like “Calgary used cars” to find cost-effective solutions for your business transportation needs. Whether purchasing new or used vehicles, it’s vital to ensure they are properly insured with the appropriate commercial vehicle insurance to operate legally and responsibly in Alberta.
Commercial vehicles cover several types of automobiles used for businesses, including cars, freight trucks, pickup trucks, trailers, minivans, fleets, etc.
It takes care of the following:
● The well-being of the employees, especially the drivers and helpers operating the vehicles.
● The well-being of the clients using your transportation services
● The well-being of the general public, pedestrians and the community
● The commercial vehicle itself is registered to your company.
● Ultimately your brand and business– from legal and financial liabilities, business interruptions and lawsuits from any damage.
Which type of business can benefit the most from commercial vehicle insurance Alberta?
Generally, three fundamental criteria help you understand if your business requires or will benefit from commercial auto insurance.
● Use of the vehicle: A commercial auto insurance policy is necessary if visiting or transporting to and from clients is a regular part of your business or if you make deliveries with registered business vehicles.
● Type of vehicle you drive: Large and heavy commercial vehicles such as freight trucks often cause the highest impact in an accident. Thus, your coverage should include such high-impact damages.
● Vehicle owner: If you’re a registered vehicle owner and leasing your vehicle to other businesses, employees or drivers for business purposes, you need commercial auto insurance coverage.
There are certain services where commercial auto insurance is mandatory:
● General contractors and construction businesses handling heavy vehicles
● The maintenance workforce is concerned with carrying tools.
● Personal emergency equipment business or contract, e.g. towing vehicles
● Any delivery service such as food-delivery aggregator, restaurant, etc.
● Businesses offering driver training
● Businesses concerned with sales visits
● Businesses offering vehicles for occasional or regular employee use
● Cab services, e.g. Lyft or Uber
What are the commercial auto insurance coverage options in Alberta?
Commercial vehicle policies usually offer the following types of coverage. The coverages depend on your unique policies:
● Third-party liability coverage
● Accidental benefits
● Public liability (bodily injuries) and property damage coverage
● Collision or upset coverage
● Specified perils insurance
● All perils coverage
● Minor conviction rating waiver
● Loss of use insurance
● Rental vehicle insurance
● Accident forgiveness
Third-party liability
This standard insurance coverage safeguards you if your vehicle is at fault for inflicting bodily injuries or damaging someone’s property.
Accident benefits
When you’ve encountered injury in an accident, accident coverage can offer your financial support, irrespective of fault.
PLPD coverage
Generally, PLPD coverage safeguards your business if you or the person operating your commercial vehicle are the at-fault parties in an accident.
In case you hit another automobile, vehicle, a person or an inanimate object on the road and you’re at fault, you become responsible for covering the expenses. This policy is fundamental coverage for all commercial auto insurance policies.
Collision or upset coverage
Collision or upset coverage safeguards your commercial automobile from damages due to an impactful collision with another vehicle, an inanimate object, or in case your car flips over.
Comprehensive
A comprehensive insurance policy offers coverage for all types of damages, including fire, theft, flood, vandalism, hail, etc., except collision or upset. This insurance can be bought as an additional cover to your standard insurance.
All-perils coverage
All perils coverage offers the protections of both collision or upset and comprehensive insurance. Additionally, it covers services or repairs concerned with the insured vehicle.
Specific perils
Specific risks insurance protects your vehicle from damages inflicted by events not covered by the standard policy, including lightning, explosion or earthquake.
Minor conviction rating waiver
With minor conviction rating waiver insurance, you can avoid increasing your insurance premium during the next renewal cycle due to minor accidents or violations.
Loss of insurance
If your vehicle is damaged due to a collision or any other unfortunate event, it’ll require immediate repair to get yourself back into the business. A loss of use insurance policy offers coverage for expenses incurred for a replacement vehicle or any other mode of transportation during the repair timing.
Accident rating waiver
With accident rating waiver insurance, you can prevent increment in insurance premium on renewal even if you’re involved in an at-fault accident. However, this insurance is valid only for first-time at-fault accidents.
Alberta commercial vehicle insurance — Conclusion
Getting the correct insurance is incredibly essential for your business. It doesn’t just protect you and your brand but other individuals such as employees and clients associated with your business. Comparing insurances and consulting with the experts is the best way to find the best commercial auto insurance that suits your business.
With professional insurance brokers, you can get customized auto insurance options, expert advice and customer service and save money by shopping for the best deals in the current market. Connect with a renowned insurance broker to get the best auto coverage deals.
